Singapore residents’ real median income declines in 2023 amidst high inflation

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30th November 2023 – (Singapore) According to the Labour Force in Singapore Advance Release 2023 report published by the Ministry of Manpower on Thursday, Singapore residents experienced a 2.3 per cent decline in real median income in 2023, primarily attributable to high inflation.

Although nominal incomes continued to rise, the pace of increase was more subdued compared to previous years within the past decade. The median gross monthly income from employment for full-time employed residents saw a modest increase of 2.5 per cent in 2023. However, this growth rate was lower than the average annualised increase witnessed between 2013 and 2023.

Similarly, at the 20th percentile (P20), income experienced a 1.7 per cent increase in 2023, which also fell short of the average annualized increase observed from 2013 to 2023.

Nevertheless, when considering the longer-term perspective, real income growth for workers at the P20 level continued to surpass that of the median worker. This can be attributed to various measures implemented to uplift lower-wage workers. Consequently, the income disparity between workers at the P20 and P50 levels has shown signs of narrowing.